WASHINGTON (AP) — The International Monetary Fund says the world economy is recovering at a healthy pace but still needs government stimulus efforts to keep it going.
The IMF raised its forecast for world economic growth in 2010 to nearly 4 percent, up from an estimate of 3.1 percent last October. It expects the U.S. economy to grow by 2.7 percent this year, significantly higher than its previous forecast of 1.5 percent.
But the IMF says that with unemployment high in many countries and credit tight, the recovery in advanced economies like the United States “is still expected to be weak by historical standards.”
And the IMF says “a key risk is that a premature and incoherent exit” from the low interest rates set by many central banks and other stimulus programs “may undermine global growth.”
